EEOC Brief Argues That AI Software Vendor Can Be Held Liable for Discrimination

May 9, 2024

 

What's New

The U.S. Equal Employment Opportunity Commission has filed a friend-of-the-court brief in a federal district court case, arguing that a human resources software company can be held directly liable for employment discrimination allegedly caused by its artificial intelligence (AI) tool.

The EEOC’s brief in Mobley v. Workday, Inc., claims that a software vendor that provides online resume-screening services can be liable under Title VII of the 1964 Civil Rights Act, the Age Discrimination in Employment Act (ADEA), and the Americans with Disabilities Act (ADA) if an employer’s use of its product discriminates against a protected class. The lawsuit is a proposed class action in the U.S. District Court for the Northern District of California.

The suit, filed by a rejected job applicant, asserts that software vendor Workday can be held liable as an employment agency, an indirect employer, or an employer’s agent. Workday seeks dismissal, countering that a software vendor cannot be any of these.

What It Means

It is unusual for the EEOC to file an amicus brief in a district court case. The fact that the agency has weighed in here, and the arguments in its amicus brief that support letting the case go forward, underscore its increasing scrutiny of the potential discriminatory impact of AI in the workplace.

What You Should Do

Employers that use AI are advised to take notice of the EEOC’s interest. Follow CWC to learn whether the court in this case will agree with the arguments in EEOC’s brief.





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